My financial advisor wants me to get a $100,000 home equity loan and he will invest it. Good idea?

that is some of the worst financial advice I have ever heard. UNless its a sure thing, which i doubt cause there is no such thing as a sure thing. If your rate on the home equity is say 8% then you need at least an 8% return on you invest just to break even, IF you get like a 12% return then your only making 4% return which is about the same as investing in a long term cd, question is it the return on investment worth the risk, in most cases if your paying interest and having to get a loan to invest its not worth it because the interest cost is too high and thus your rate of return has to be too high to cover the cost. The risk reward is just not worth it. I dont know of any investment that is gauranteed to return that high of a return. I guess if you really like the stock or investment and think it can beat the interest cost and its risk reward is worth it then go ahead and do it. But dont do it just cause your dumb financial advisor told you to do it, thats just bad advice and you may want to report him to the SEC, cause advisors should not be advising like that.

My financial advisor wants me to get a $100,000 home equity loan and he will invest it. Good idea?

I'd hesitate to do it, bud. It IS possible to leverage your investment with borrowed fujnds, depending if you have (a) a low, fixed-interest rate home equity loan (which is becoming harder to find), (b) a relatively medium-length time horizon of 5-15 years to invest (it would be a killer if the market went south for 2 or 3 years regardless of how good your advisor is, so you want time to have a chance to recover, and (c) he's damn good at investing.

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